Check the VAT return before you file

A VAT return that is filed wrongly can be expensive to correct. BC has several reports that can be used to reconcile VAT entries against G/L accounts before filing, but they must be combined with a fixed routine. Here is what Microsoft Learn describes, and a checklist for the last days of the period. It is a practical checklist. It is written for bookkeepers and finance managers who submit the return themselves.

Reports that compare

Microsoft Learn describes the report G/L - VAT Reconciliation as a comparison of VAT postings on the G/L accounts with the underlying VAT entries. It can be used during the VAT period to check that the posted VAT entries match the VAT amounts in the general ledger. You can filter by posting date and VAT period.

For Denmark there is a separate guide for printing VAT reconciliation reports. Check it if you use the Danish localisation.

The VAT statement as a check

Learn recommends a set-up where the VAT statement has two sections. The first totals by VAT entries. The second totals by accounts. Then you can compare the amount from the VAT entries with the G/L accounts directly in the statement. It gives a reconciliation that you can repeat every period and that reveals differences.

The statement itself and the settlement

When the VAT return is marked as approved, you can run Calc. and Post VAT Settlement. The batch job closes open VAT entries and transfers input and output VAT to the settlement account. It is a posting that can be hard to roll back. Therefore run the checks before, not after.

The documentation does not describe an overall plausibility check that warns if figures fall outside what is expected. That is a routine you have to create yourselves.

Checklist before filing

Have all invoices and journals in the period been posted? Check open sales and purchase documents.
Does the sum of the VAT entries match the G/L accounts in the chart of accounts? Use the reconciliation report.
Are there entries with the wrong VAT posting group? Check VAT entries with unexpected combinations.
Are EU sales and EU purchases included? Compare with the EC Sales List.
How does the figure look compared with the last period? Large swings should be explained.
Is the period closed once the return has been filed?

Rules and deadlines

Rules and deadlines for filing depend on the country and on the company's VAT period. Therefore check yourselves with the relevant authority how the rules look at the time you file. The article was written in October 2026 and is not legal advice.

Who does what

Divide the checks. The bookkeeper reconciles VAT entries and accounts. A colleague looks at unexpected swings and checks the EU entries. The finance manager approves before the VAT settlement is posted. Write the routine down, and use it every period. Then it does not depend on who has time, and the auditor can see how the return was checked.

Also plan time for the check. Do the reconciliation a couple of days before the deadline and not on the last day, so that there is time to correct an error before the return is filed. Save the reconciliation reports as PDFs with period and date, so that they can be produced at a later inspection.

If several people post VAT, agree a fixed last day for posting in the period, and keep the period open for as short a time as possible after it.

What standard does not do

Standard BC does not automatically show whether the figures in a period resemble earlier periods, or whether a single invoice has an unusual VAT code. This means the plausibility check is something you have to do yourselves with reconciliation reports, the VAT statement and a comparison with the last period. Therefore make a fixed checklist, and keep it together with the VAT return as documentation.

The idea on our list

The idea VAT Return Check is about checking the VAT return against entries, closed periods and deviations before you file. At Addverk we collect ideas for small apps that could close gaps like this. They are ideas we are considering, not something you can download or buy today. The list of 30 ideas is on the Coming up page, and you can see which of them look like what you are missing yourselves.